Trade finance for manufacturing companies

• Cash flow challenge:  Manufacturers often face cash flow strain when buying raw materials or components upfront, while waiting weeks or months for customers or distributors to pay.
  

• Perfect for: UK manufacturers, exporters, and component suppliers managing long production cycles, delayed payments, or overseas supplier costs.

Novuna helps manufacturing companies access flexible trade finance facilities to fund imports, materials, and exports, either through our award-winning in-house service or by comparing providers to ensure you have a great deal for your situation.

Boost your cash flow Speak to an expert

Keep production and exports moving with reliable funding

Manufacturers depend on steady cash flow to purchase materials, pay suppliers, and deliver finished products to customers on time. But when supply chain costs rise or overseas buyers take months to pay, operations can slow down.

Trade finance bridges that gap providing short-term funding that ensures your business can keep producing, shipping, and growing without financial delays.

With trade finance in place, your business can:

• Pay overseas or domestic suppliers upfront for materials.

• Fund raw material purchases and inventory without draining cash reserves.

• Manage extended payment terms from clients or distributors.

• Cover logistics, insurance, and export costs.

How trade finance supports manufacturers

Trade finance provides working capital throughout your production and delivery cycle, ensuring you can fulfil orders and maintain supplier relationships.

For manufacturers importing materials:

• Pay for raw materials, components, or packaging before delivery.
• Manage exchange rate risk with structured import finance.
• Keep production schedules on track, even when suppliers require early payment.

For manufacturers exporting products:

• Access cash as soon as goods are shipped, without waiting for international buyers to pay.
• Offer longer credit terms to customers while protecting your cash flow.
• Secure funding for freight, customs, and distribution costs.

This flexibility helps manufacturers manage both sides of their trade cycle, from sourcing materials to shipping finished goods.

Best trade finance solutions for manufacturing businesses

1. Import finance

Provides upfront funding to pay overseas suppliers before goods arrive.

Advantages:

• Strengthens supplier relationships with prompt payment.

• Allows you to buy larger quantities or negotiate better pricing.

• Keeps your production schedule consistent.

2. Purchase order finance

Funds supplier costs with purchase order finance confirmed customer orders, allowing you to deliver large or bulk contracts without cash flow disruption.

Advantages:

• Covers material and production costs for new contracts.

• Ensures you can take on bigger orders confidently.

• Supports business growth without new debt.

3. Export and invoice finance

Releases cash from unpaid invoices once goods have been shipped or delivered.

Advantages:

• Access up to 90% of invoice value within 48 hours.

• Stabilises cash flow between production and customer payment.

• Enables faster reinvestment in materials or equipment.

4. Working capital loans

Flexible funding for day-to-day operational expenses such as energy bills, labour costs, and logistics.

Advantages:

• Maintain liquidity during long production or payment cycles.

• Keep production running through seasonal fluctuations.

• Fund short-term needs while awaiting customer payments.

 See how working capital loans can support operational stability.

Benefits of trade finance for manufacturers

• Stronger supply chain resilience: Pay suppliers on time and prevent disruption.
• Improved liquidity: Access cash tied up in materials or invoices.
• Operational continuity: Maintain production through long cash flow cycles.
• Faster growth: Take on larger orders and new export contracts.
• Reduced risk: Manage international payment uncertainty with secure facilities.

Trade finance empowers manufacturers to operate efficiently, seize new opportunities, and stay competitive in a fast-changing global market.

Boost your cash flow Speak to an expert

How Novuna Business Cash Flow can help

We’ve can help UK manufacturers across automotive, electronics, packaging, and machinery sectors secure the funding they need to maintain production and trade confidently.

Get in touch with our experts today and we will find a great fit for your situation.